LosAngelesSportsFan
January 29th, 2005, 02:54 AM
Expansion Is a Capital Idea
Investment Firm Inks $36 Million Mega-Lease
by Kathryn Maese
Capital Group has signed a $36.4 million lease at 400 S. Hope St., according to Downtown real estate sources. The move significantly expands the investment firm's Downtown presence to more than 200,000 square feet.
Capital Group will occupy four floors in the building at 400 S. Hope St. Photo by Gary Leonard.
Capital Group will add four floors, or 106,354 square feet, to its existing 100,000 square feet in Bank of America Plaza at 333 S. Hope St.
Brokers say the 12-year deal will be one of the most significant of the year. While a number of consulting, insurance and law firms are scouting the office market for growth opportunities, none plan to expand on the scale of Capital Group.
"It's pure expansion in Downtown," said Dennis Smith, senior vice president of Travers Realty, who was not involved in the transaction. "That's what everyone is looking for. The space is great for them because it's near their main facility. It has big floors, good location and nice views. The overall package they were able to negotiate was mutually favorable."
The Class A office building on Bunker Hill is owned by law firm O'Melveny & Myers. The newly leased space was vacated 18 months ago by PricewaterhouseCoopers. Capital Group will occupy a contiguous block of space on the upper floors, an incentive Smith said likely sweetened the deal for the firm.
"Other space on Bunker Hill would not have been one big clean block," he said. "They would have had to put chunks of space together, so the concept of getting this kind of space was unique."
CB Richard Ellis brokers Bruce Asper and John Zanetos represented O'Melveny & Myers, while John McRoskey and Whitley Collins of CBRE represented Capital Group. The brokers would not comment on the deal.
Investment Firm Inks $36 Million Mega-Lease
by Kathryn Maese
Capital Group has signed a $36.4 million lease at 400 S. Hope St., according to Downtown real estate sources. The move significantly expands the investment firm's Downtown presence to more than 200,000 square feet.
Capital Group will occupy four floors in the building at 400 S. Hope St. Photo by Gary Leonard.
Capital Group will add four floors, or 106,354 square feet, to its existing 100,000 square feet in Bank of America Plaza at 333 S. Hope St.
Brokers say the 12-year deal will be one of the most significant of the year. While a number of consulting, insurance and law firms are scouting the office market for growth opportunities, none plan to expand on the scale of Capital Group.
"It's pure expansion in Downtown," said Dennis Smith, senior vice president of Travers Realty, who was not involved in the transaction. "That's what everyone is looking for. The space is great for them because it's near their main facility. It has big floors, good location and nice views. The overall package they were able to negotiate was mutually favorable."
The Class A office building on Bunker Hill is owned by law firm O'Melveny & Myers. The newly leased space was vacated 18 months ago by PricewaterhouseCoopers. Capital Group will occupy a contiguous block of space on the upper floors, an incentive Smith said likely sweetened the deal for the firm.
"Other space on Bunker Hill would not have been one big clean block," he said. "They would have had to put chunks of space together, so the concept of getting this kind of space was unique."
CB Richard Ellis brokers Bruce Asper and John Zanetos represented O'Melveny & Myers, while John McRoskey and Whitley Collins of CBRE represented Capital Group. The brokers would not comment on the deal.